Condo/Townhouse

single Family

• Number of sales and price indicators rose above prior year levels Median sales price was $470,000, up 16% from $405,000 in the same period last year. Average sales price and average price per square foot increased 11.9% and 2.7% respectively over the same period. There were 119 sales this quarter, 22.7% more than in the prior year quarter.

• Days on market reflected a faster market pace The average number of days to sell a property was 216 days, 24 days faster than the 240 days in the prior year quarter. Days on market is the number of days from the last time the list price was changed to the contract date. Listing discount, the percent spread between the average list price at time of contract and average sales price, was 16%, up from 14.4% in the same period last year.

• Median sales price fell from prior year levels Median sales price was $2,100,000 in the second quarter, 8.7% below $2,300,000 in the same period last year. The other price indicators showed larger declines, mostly due to a larger concentration of higher-end sales in the prior year quarter, which skewed the current quarter’s price indicators lower.

• Number of sales fell below prior year quarter, yet marketing times fell sharply There were 39 sales in the second quarter, 11.4% below the 44-sale total in the prior year quarter. The time to sell a property fell by more than two months over the same period. Days on market averaged 250 days, 67 days faster than 317 days in the same period last year.

Quarterly Average Sales Price PALM BEACHCONDO/ TOWNHOUSE

Number of Sales

0

28

56

84

112

140

$0

$280,000

$560,000

$840,000

$1,120,000

$1,400,000

12111009080706

Quarterly Average Sales Price PALM BEACHSINGLE FAMILY

Number of Sales

0

15

30

45

60

75

$0

$1,200,000

$2,400,000

$3,600,000

$4,800,000

$6,000,000

12111009080706

Quarterly Average Sales Price PALM BEACHLUXURY

Number of Sales

0

4

8

12

16

20

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHNORTH END

Number of Sales

0

20

40

60

80

100

$00

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHSOUTH END

Number of Sales

0

20

40

60

80

100

$0

$100,000

$200,000

$300,000

$400,000

$500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHCONDO/ TOWNHOUSE

Number of Sales

0

28

56

84

112

140

$0

$280,000

$560,000

$840,000

$1,120,000

$1,400,000

12111009080706

Quarterly Average Sales Price PALM BEACHSINGLE FAMILY

Number of Sales

0

15

30

45

60

75

$0

$1,200,000

$2,400,000

$3,600,000

$4,800,000

$6,000,000

12111009080706

Quarterly Average Sales Price PALM BEACHLUXURY

Number of Sales

0

4

8

12

16

20

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHNORTH END

Number of Sales

0

20

40

60

80

100

$00

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHSOUTH END

Number of Sales

0

20

40

60

80

100

$0

$100,000

$200,000

$300,000

$400,000

$500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Survey of Palm Beach Residential SalesPalm BeaCh, Florida 2Q-2012

Palm Beach Market Matrix (Condos/TH) 2Q-2012 % Chg (qrt) 1Q-2012 % Chg (yr) 2Q-2011Average Sales Price $733,084 16.5% $629,057 11.9% $655,107Average Price per Sq Ft $387 8.7% $356 2.7% $377Median Sales Price $470,000 17.5% $400,000 16.0% $405,000Number of Sales (Closed) 119 101.7% 59 22.7% 97Days on Market (From Last List Date) 216 -18.2% 264 -10.0% 240Listing Discount (From Last List Price) 16.0% 18.9% 14.4%Listing Inventory (active) 428 N/A N/AAbsorption Rate (mos) 10.8 N/A N/A

Palm Beach Market Matrix (Single Family) 2Q-2012 % Chg (qrt) 1Q-2012 % Chg (yr) 2Q-2011Average Sales Price $3,227,006 0.9% $3,198,567 -29.4% $4,572,101Average Price per Sq Ft $860 5.4% $816 -22.4% $1,108Median Sales Price $2,100,000 6.3% $1,975,000 -8.7% $2,300,000Number of Sales (Closed) 39 116.7% 18 -11.4% 44Days on Market (From Last List Date) 250 -3.1% 258 -21.1% 317Listing Discount (From Last List Price) 15.9% 19.3% 17.0%Listing Inventory (active) 178 N/A N/AAbsorption Rate (mos) 13.7 N/A N/A

The Douglas Elliman Report series is recognized as the industry standard for providing the state of the residential real estate market. The report includes an extensive suite of tools to help readers objectively identify and measure market trends, provide historical context to current information and provide comprehensive analysis of the results.

PrePared by Miller SaMuel inc. Appraisal and Consulting Services

Note: All condo/townhouse closed sales in Palm Beach within the MLS.

Note: All single family closed sales in Palm Beach within the MLS.

©2012 Douglas Elliman Florida LLC and Miller Samuel Inc. All worldwide rights reserved.

Douglas Elliman Florida LLC. ©2012 Equal Housing Opportunity. All material presented herein is intended for information purposes only. While this information is believed to be correct, it is represented subject to errors, omissions, changes or withdrawal without notice. All property outlines and square footage in property listings are approximate.

• All price indicators fell sharply from skew in the mix In the prior year quarter, there were two sales above the $25,000,000 threshold, while the second quarter high water mark was $14,350,000. Without the two highest sales in the prior year quarter, median sales price would have declined 5% over this period.

• Days on market fell sharply as listing discount remained stable The average days on market for a luxury property, as measured from the last price change if any, was 240 days, 100 days faster than in the prior year quarter. Listing discount, measuring the percentage difference between the contract price and the list price at time of contract, was 17.3% in the second quarter, essentially unchanged over the period.

• Price indicators were below prior year levels Median sales price in the second quarter was $1,317,500, 5.9% below $1,400,000 in the prior year quarter. Average sales price and average price per square foot followed the same pattern. Average sales price declined 2.7% to $2,176,277 and average price per square foot decreased 7.6% to $726 over the period.

• There was more sales activity this spring than last year The number of sales edged up 3.8% to 82 sales from 79 sales in the prior year quarter. The North End accounted for 51.9% of all Palm Beach sales in the second quarter.

• Median sales price increased from prior year levels Median sales price increased 6.1% to $327,500 from $308,750 in the same period last year. There were two sales in the prior year quarter above the $25,000,000 threshold that drove the average sales price and price per square foot significantly higher. In this case, median sales price removes those outliers to better reflect current market conditions.

• Number of sales were up sharply from prior year levels There were 76 sales in the second quarter, 22.6% more than 62 sales in the prior year quarter.

luxury

norTh end

souTh end

For more information or electronic copies of this report please visit ellimanflorida.com. Email report author Jonathan J. Miller at jmiller@millersamuel.com with questions or comments. Methodology: http://www.millersamuel.com/research-reports/methodology

Douglas Elliman Florida Real Estate340 Royal Poinciana Way, Suite 322-A Palm Beach, FL 33480 561.655.8600 / ellimanflorida.com

Miller Samuel Inc. Real Estate Appraisers & Consultants21 West 38th StreetNew York, NY 10018212.768.8100 / millersamuel.com

Quarterly Average Sales Price PALM BEACHCONDO/ TOWNHOUSE

Number of Sales

0

28

56

84

112

140

$0

$280,000

$560,000

$840,000

$1,120,000

$1,400,000

12111009080706

Quarterly Average Sales Price PALM BEACHSINGLE FAMILY

Number of Sales

0

15

30

45

60

75

$0

$1,200,000

$2,400,000

$3,600,000

$4,800,000

$6,000,000

12111009080706

Quarterly Average Sales Price PALM BEACHLUXURY

Number of Sales

0

4

8

12

16

20

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHNORTH END

Number of Sales

0

20

40

60

80

100

$00

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHSOUTH END

Number of Sales

0

20

40

60

80

100

$0

$100,000

$200,000

$300,000

$400,000

$500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHCONDO/ TOWNHOUSE

Number of Sales

0

28

56

84

112

140

$0

$280,000

$560,000

$840,000

$1,120,000

$1,400,000

12111009080706

Quarterly Average Sales Price PALM BEACHSINGLE FAMILY

Number of Sales

0

15

30

45

60

75

$0

$1,200,000

$2,400,000

$3,600,000

$4,800,000

$6,000,000

12111009080706

Quarterly Average Sales Price PALM BEACHLUXURY

Number of Sales

0

4

8

12

16

20

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHNORTH END

Number of Sales

0

20

40

60

80

100

$00

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHSOUTH END

Number of Sales

0

20

40

60

80

100

$0

$100,000

$200,000

$300,000

$400,000

$500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHCONDO/ TOWNHOUSE

Number of Sales

0

28

56

84

112

140

$0

$280,000

$560,000

$840,000

$1,120,000

$1,400,000

12111009080706

Quarterly Average Sales Price PALM BEACHSINGLE FAMILY

Number of Sales

0

15

30

45

60

75

$0

$1,200,000

$2,400,000

$3,600,000

$4,800,000

$6,000,000

12111009080706

Quarterly Average Sales Price PALM BEACHLUXURY

Number of Sales

0

4

8

12

16

20

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHNORTH END

Number of Sales

0

20

40

60

80

100

$00

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

2Q 121Q 124Q 113Q 112Q 11

Quarterly Average Sales Price PALM BEACHSOUTH END

Number of Sales

0

20

40

60

80

100

$0

$100,000

$200,000

$300,000

$400,000

$500,000

2Q 121Q 124Q 113Q 112Q 11

Luxury Market Matrix 2Q-2012 % Chg (qrt) 1Q-2012 % Chg (yr) 2Q-2011Average Sales Price $5,902,781 5.0% $5,619,750 -42.1%$10,199,257Average Price per Sq Ft $1,225 18.0% $1,038 -31.4% $1,787Median Sales Price $3,897,870 0.1% $3,895,000 -43.6% $6,909,800Number of Sales (Closed) 16 100.0% 8 14.3% 14Days on Market (From Last List Date) 240 -14.9% 282 -29.4% 340Listing Discount (From Last List Price) 17.3% 19.8% 17.2%Listing Inventory (active) 124 N/A N/AAbsorption Rate (mos) 23.3 N/A N/A

North End Market Matrix 2Q-2012 % Chg (qrt) 1Q-2012 % Chg (yr) 2Q-2011Average Sales Price $2,176,277 9.4% $1,989,941 -2.7% $2,236,721Average Price per Sq Ft $726 4.3% $696 -7.6% $786Median Sales Price $1,317,500 8.9% $1,209,350 -5.9% $1,400,000Number of Sales (Closed) 82 127.8% 36 3.8% 79

South End Market Matrix 2Q-2012 % Chg (qrt) 1Q-2012 % Chg (yr) 2Q-2011Average Sales Price $455,730 -18.9% $562,211 -67.9% $1,419,627Average Price per Sq Ft $249 -16.2% $297 -64.0% $692Median Sales Price $327,500 2.3% $320,000 6.1% $308,750Number of Sales (Closed) 76 85.4% 41 22.6% 62

Note: This sub-category is the analysis of the top ten percent of all sales in Palm Beach within the MLS. The data is also contained within the other markets presented.

Note: This sub-category is the analysis of Palm Beach single family and condo/townhouse sales within the MLS. They are located north of Southern Boulevard (Florida State Road 80). The data is also contained within the other markets presented.

Note: This sub-category is the analysis of Palm Beach single family and condo/townhouse sales within the MLS. They are located south of Southern Boulevard (Florida State Road 80). The data is also contained within the other markets presented.

The Elliman Report • Quarterly Survey of Palm Beach Residential Sales2Q-2012